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Funded webapp SaaS

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Gale4rc

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Just starting a new thread about my new product coming out i've been working on for a while. Not going to share the link w/ the forum because it's not important :) Going to use this thread to keep myself accountable.
(previous thread was on e-commerce that was making $ but, just while I was working on this)

Random story:
I found my main developer for this project by finding out he was already working on a somewhat similar project and convinced him to quit and come work for me. Opportunity is everywhere, you just have to try.

How I've always got funding on all my past failures/these two startups:
Find investors in your industry
Stalk them
E-mail them/LinkedIn message them/ Get in contact however possible
Wait for response
then try and get a call and or meetup if they're local. Even if they're not interested they will generally be willing to meetup if you frame the conversation right. I've been told no many times but, every time I get told no- I still go for the meeting to make that connection & always follow up.

Right now were sitting at over 1k pre-signups (All from hard work) and just launched private beta.

Goal till public beta:

Create shareable content for social media everyday
Create a valuable blog post everyday/other day.
Increase our signups per day pre launch.

My guess is it's going to be around 1 month until we get our first $1 - Were just finishing up fixing some bugs users encountered and then adding 1 more feature set before public launch.


I also have an iPhone + Android app coming out that I think is going to be pretty big but, that's completely stealth right now and not going to be talking about it in this thread. (Also received funding for this)


A little about me: I've failed at least 3x in a big way so far. Many small failures as well which I don't really count because I didn't put enough effort into them.

Feedback from users trying out the product has been good so far. Were going to be charging around $20-25/mo
 
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healthstatus

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I'm not going to charge until we have a solid product I can feel good about getting $ for. It's just not how I conduct business.
Dude, I am going to call you on this, it isn't all about you. There is always going to be one more thing to do, if I add that it will be great, and if I do that other thing it will be greater. Artists never finish a work, they just stop working on it and put it out there. You need to do that, then you can work on version 2, or product B or whatever, but this months of not quite there is just fear. Get past it and get it out there.
 

Gale4rc

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Just got the first build of the app and it's AMAZING!!!!

As entrepreneurs were always building things from our imaginations and it's kind of crazy. We see things people don't and hope they don't think it's stupid when we finally have something to show them because if they do it's basically calling us dumb. Most of my ideas have always been B2B to where I have nothing to show and I love that I finally have something I can show everyone and basically say.. Hey look! I do things!
 
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Gale4rc

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Dude, I am going to call you on this, it isn't all about you. There is always going to be one more thing to do, if I add that it will be great, and if I do that other thing it will be greater. Artists never finish a work, they just stop working on it and put it out there. You need to do that, then you can work on version 2, or product B or whatever, but this months of not quite there is just fear. Get past it and get it out there.
I get what you're saying but, it's not fear. I have a road map and don't want to charge w/out being product market fit.

What's the point in charging a few users and making a few bucks without being scalable? It does absolutely nothing for me.

Private beta / releasing early is fine for testing validation.
Maybe even getting your first customer but, there has to be a point where you focus on the product and make sure what you're releasing out into the public is something of quality.If it's not you're going to waste money on advertising because people won't convert into paying customers and you wont be able to scale.

You'll also hurt your brand image with those people who didn't get what they needed who will also most likely not be coming back ever.

The startup landscape is changing into things like create a landing page to validate your idea and release a really really quick MVP after to further validate your idea... And I don't agree with this at all.

If you're validating your 'idea' off a landing page, you're absolutely F*cking nuts. Any decent copywriter should be to create a landing page selling anything and get signups. Pre-orders are a different story and some go viral (dropbox, robinhood.io) which is rare but, also only validates the idea, not your product. It's easy to come up with a ground breaking idea, harder to build it and communicate it properly into a product everyone loves.

This whole concept of improve off user feedback I also disagree on
I use feedback to identify what bugs to fix and that is it. People don't know what they want unless its a huge glaring feature you've somehow missed. Innovating should come from your vision and industry knowledge, it will never come from someones feedback IMO. You should have a vision to see the end product and the road map on how to get there. Not be asking your customers for directions and where to end up.

Lastly, at the end of the day - There are no rules to success. The advice given out is what worked for one person and there is more than one way. These are just my own beliefs in which I lead my business by.

PS - this rant is not pointed at you @healthstatus ... Just some stuff I've been thinking about for a while. & If you think i'm terribly wrong, tell me. I'm open minded and would love to shoot down my beliefs to build them into something stronger.
 
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Gale4rc

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Got paying customer the day after launch, forgot to post :p

Really hungover from celebrating last night... Will give a better update later on.
 

Gale4rc

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Any updates on this?
Sorry for the long response :p I wanted to get everything together before posting this update

Things have been HORRIBLE.

Probably the worst since i've started this idea.

We had our first churn(s) - 4 customers. gone.

Development speed - Turtle slow. This is really getting to me, I wish we could be even faster. We are already planning on getting rid of the second dev we hired and hire a better one but now we cant.

We we're about to hire another developer to move faster and guess what happens?


My main developer (now co-founder) ran out of $$$$$$$$$$$ so that left us with some shitty options:
  1. Pay him - which adds to the burn rate and will force us to move slow. Also his expenses are high - He wants $4k/mo if we do give him salary.
  2. He gets a freelance job - then we hire a dev full-time and have him work part time
  3. Transfer from turtle to snail slow and have him work part time with no one else
  4. ???????????? any ideas?
  5. Raise another seed round which is likely possible since we have paying customers and we're growing.
We're about 3 months away from having a really solid product.

This is frustrating because that's 6 months from any decent $ - growth wont be instant even when we get there you know?

So 6 potential months of him at salary is $24k down the shitter on top of everything else we've spent. That puts us really low on funding and not in a good position for growth.

So that situation effing SUCKS. Really, really frustrating. Either way i'm not quitting.... It's just I gotta figure out the right move to move forward

Pricing changes:
We tested multiple price points
  • $25/mo - 0 customers
  • $20/mo - 2 customers - Over 2 or 3 weeks of testing. Not good.... Normally we get at least 5 new customers a week.
  • $17/mo - 1 customer
  • $15/mo - 1 customer
Lost a lot of potential customers doing this and none of them ended up working out like we hoped.
$9.99 is the sweet spot with our current product


Basically December was anything but a good month for us.
 
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Gale4rc

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Quick Update:

Haven't stopped grinding at all, we're about to try to start scaling at the end of next month.

Conversions are up, are product is improved and our traffic is increasing.

It's a really exciting time right now.


Quick tip that I've just made up on the fly that I've already seen results from:

I don't have enough resources to develop or implement a really good referral program. I want all the attention focused on improving the product. With that being said, we still need a referral platform to enhance growth.

What I've done instead is two things
  1. Implement a chat service (olark.com for the screen sharing feature, zopim.com is a great free tool just without the screen sharing). This has helped tremendously with customer feedback and just converting more users. Talking to them while they're in the process of using the product and helping them naturally helps you get more sales. I don't try to be salesy at all, I just help them and make sure that they get the most value out of the product that they can.
  2. Give them a free month if they seem optimistic / supportive. This is what sparked my new idea for referrals.
Instead of just giving them a free month (with a coupon code), I also give them a code that they can share with other people they know who need our software and actually tell them that i'll give them another month for anyone that signs up using the code. This builds huge rapport because i'm already talking with them 1 on 1, then i'm giving them a month and then i'm also giving their friends a free month THEN on top of all that they also get more free months for anyone that they give their code too.

It's a DIY referral program with a much higher engagement rate because you're only giving it to people you talk to and have a relationship with. It's making them feel special because I also make the code their first name so they know it was made especially for them.

Things are looking good and I can't wait to see where we are in a couple months.
 
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Gale4rc

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Got a lot done today and still going

  • Went through twitter/facebook accounts relevant to niche and identified all the common content they are sharing so we can create targeted content they would be interested in sharing

ping - @Iwokeup - give it a read, it's pretty good.

  • Created an infographic template I can use to create infographics once a month and have one ready to publish in two days focusing on a new type of content based off the twitter research, experimenting to see if it results in more shares. (instead of focusing on content for our customer, focus on their targets, arm them with content for their customers that they want to share is the idea)

  • Set bufferapp.com to schedule my tweets for a month as well as used hashtagify.me to find all relevant hashtags to include in tweets for maximum exposure. It's really nice being able to enter in my blogs feed and being able to tweet our articles with a single click as well as use their suggested content.

  • Finished a blog post for tomorrow

  • Working on our branding. I want to convey a message of people who use our product are people who try a little bit harder to be better... The best thing i've come up with so far is "Always improving" but, I don't like it. I also need to establish the brand voice for all the e-mails / content/ tweets /etc were sending out. Right now it's all pretty bland/random.


I put in a lot of time trying to come up with branding and when I was working out I finally had a great idea for it and I forgot it.... Spent probably 3+ hours working on this but, it's really important to figure out. I want people who use this product to fall in love with our messaging as much as the product.

Notes from the PDF
  • On Facebook, people share videos 12 times more than links and text posts combined, and people "like" photos twice as often as text updates.
  • Tweets that include a link to content are 86% more likely to be retweeted.
  • Sharing content should be the foundation of your social activities on LinkedIn
 
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Gale4rc

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Are you getting funding for projects in industries where you have no experience or track record... If so, could you please elaborate?

I have previous experience in one, not the other.

My track record is garbage, i'm an uneducated unsuccessful fool.
 
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Gale4rc

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Easy day today

  • Wrote a blog post for tomorrow

  • Made some changes to the website, adding a little bit more content to the landing page but, still keeping it simple & conversion focused.

  • Testing a new image type for instagram to see what gets the most interaction - Last one got 213 likes, 16 comments: this one is at 72 so far http://take.ms/hF1HV

  • Finally finished the branding concept. Now I have to incorporate it into everything.

  • Posting articles on linked in has given us around 50+hits/day - Will see how it does tomorrow. http://take.ms/GKSwm - Posts have to be 'approved' which is a little annoying.

  • Using Pinterest now... Going to have to create a custom image for every post attached the the 'pin' - Different than instagram. Seems like you really have to pull people in rather than just have a cool quote or something (if you want them to do more than just like it).... The strategy i'm going to be doing is this: Sum up the whole blog post in a couple words for a cool image on pinterest and hopefully attract the target market with these 'quick tips' linking back to the post as well as branded pinterest page.

  • E-mailing more people for interviews, no responses from last batch which is unusual.

-Side note: Our popup (sumome) is converting at around 10% - I'm noticing the better the content we publish, the higher our conversion rate on our blog goes.

Great video on branding
 
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Gale4rc

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Couple questions if you don't mind,

What methods did you use to find the need/interest for your web app or did you just happen to come across the idea, and ran campaigns to validate?

Did you get investors before or after the pre-signups?

Would love to answer them...

I used to work in the industry and saw the need. I am a firm believer in you have to pull product ideas from your own experiences rather than trying to look elsewhere.

I got the investor pre-signups - Part of my pitch was e-mails/facebook chats of the target market I interviewed saying they want this product.
 
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Gale4rc

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It's shipped. Payments are live, let's see how long it takes to get our first customer. Sending out invite email after I eat lunch.


Excited / scared.
 
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Gale4rc

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Bad update

Started off looking good, got our first paying customers, lot's of traffic/signups and that basically turned to nothing.

I've been stressing about how to get more customers to pay but, recently i've realized the harsh reality of were just not there yet and need to improve our product. It's nice to actually be improving the product instead of building it, really liking this stage and the next features we add should be pretty awesome to the end user.

Recently did a survey with clickinsights.io - which is an awesome survey tool for getting more feedback from your customers. On average they won't respond very well to surveys but, because this one is done through their email it generally gets higher response rate than other sources (although it does have it's limitations).

The survey was asking what features we should work on next - Shortly after I realized it doesn't matter. I didn't start making this product to compete with anyone on features, or to let customer feedback tell me what to build. I created it to innovate this industry with the vision I had for the product, not the customers who have no idea where I want to take this. Yes - We should use their feedback to cleanup the product bugs/ui mistakes but, not features. unless we somehow missed some glaring features that are majorly important to the customer.

With that being said, we need to accomplish the features that align with our vision and not worry about the small things (like our metrics that have been bugging me for the past few days). They will all get done in due time and ultimately get fixed by having a great product. Just like my signature says - Be so good they can't ignore you. That's the plan and that's the only thing we should be focused on.

So for now were just focused on improving product while also increasing traffic but, not necessarily growth in terms of revenue because our product just isn't there yet. Were about 2 months out from being where I would like to think is product market fit.


Also wrote this post on out reach which has been a huge source of traffic for us. https://www.thefastlaneforum.com/community/threads/out-reach-is-hugely-important-for-your-marketing.55529/
 
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Gale4rc

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Quick Update :

We're slowly getting paying customers. It's not a focus at all right now but, it's definitely nice seeing a new customer come through and now recurring charges being successful.I also spam our teams chat channel on Slack with "Rick Ross - Hustling" music video, money emojis and hustling memes everytime we get a new sale.

Finally we're about to fix one of our major bugs that's been an issue for a while and then we have 1 more major one with IE but it shouldn't be more than another week at most to fix it.

After that we have about 2-3 weeks of features left AT MOST - before we are going to try to start scaling.

When we get to 'scaling' stage, we're going to focus on optimization first. (Onboarding, Retention Emails, and implementing a referral program). After that is all setup we will start actually scaling with paid ads.

Things are looking good but, we're about a month out before anything gets exciting.

Also just finished Hooked book on product psychology, really good and highly suggest.

Stay tuned :)

 
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Gale4rc

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Thanks for the update! I've been wondering what's up with you.

If I may ask, how big is your team? At first I thought that you were a solo or 2 person shop but now I'm realizing that you're much larger. Is most of that outsourced?

Cheers!

We're a 2 1/2 person main team - I add half for the investor ;) he's involved but, not in everyday activity.

And we also have 2 freelancers working with us right now - so 4 1/2 total. One of them is my main devs friend so he's in the team chat on a daily basis even if we don't have work with him. He actually had a growth strategy he pitched yesterday (even though it doesn't benefit him at all) which was pretty good! (Actually writing this reminds me I should thank him and tell him to keep thinking of more. I just told him "we will but, there is where we're at now before we focus on that).

Good Stuff Gale.

Question: How much has development costed you overall?
I recently got done with development (sortof) with my saas app, but the cost of working with the developer for a few months has been hefty (to me at least). I applied to product hunt, etc. But Now Im marketing to sell this app and have funds to fix bugs, etc.

Development hasn't been expensive because I made the main dev my co-founder and he's working for equity. Rather not say exact costs on the forum, sorry!

Also I have other devs that I've talked about doing ideas with, all willing to do equity deals. It's actually pretty easy to find a dev to partner with as long as you have a good idea, track history and something for them to fall in love with by working with you.

In my case it's funding, in the other cases it's because I have a startup making $ which all devs know is very hard and it gets me an automatic level of respect without having to say anything. So I would suggest displaying those traits if you are looking to partner with someone for equity in the future.

Sample conversation I had yesterday with a dev that we might partner on a project:
546665cec38aa5080e1dd742.png


I actually had one start another project for eCommerce and I had to have him cancel it because I just didn't have the time for that battle (it's all uphill, no solid / easy growth strategy.)

You can also 'poach' them by finding single devs working on projects that look like they've done great work but, it's not getting them anywhere. Find them, contact them and convince them.

Great thread, keep the updates coming. Some golden links here.

This is great and I was just looking for something like it last week:
http://ad-spend-calculator.qwilr.com/

Thanks! I'll keep adding more tools for everyone :)


I've already posted these but, if you're into marketing you definitely need to check these two sites daily:

inbound.org
growthhackers.com

Awesome book on growth http://tractionbook.com/
Amazing read on product psychology - Probably involves the easiest concept to remember that you'll use /know for the rest of your life. It's 4 main steps.

And we're using slack for team chat - Which is completely awesome (ps that's my referral link, we both get $100 credit for using that)

54666a31c38aa50812eefdbf.png


^ is slack - It has different channels for different things, this is our notification channel which plugs into all the outside apps we use such as asana, stripe, bit bucket, rollbar, etc
 
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tafy

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Pay him, get it the right quality so you stop churning. Can you afford it?
 

Iwokeup

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Awesome man. I'll be following, especially as I'm also developing a SaaS product.
 

Iwokeup

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Got a lot done today and still going

  • Went through twitter accounts relevant to niche and identified all the common content they are sharing so we can create targeted content they would be interested in sharing

ping - @Iwokeup - give it a read, it's pretty good.

  • Created an infographic template I can use to create infographics once a month and have one ready to publish in two days focusing on a new type of content based off the twitter research, experimenting to see if it results in more shares. (instead of focusing on content for our customer, focus on their targets, arm them with content they want to share is the idea)

  • Set bufferapp.com to schedule my tweets for a month as well as used hashtagify.me to find all relevant hashtags to include in tweets for maximum exposure. It's really nice being able to enter in my blogs feed and being able to tweet our articles with a single click as well as use their suggested content.

  • Finished a blog post for tomorrow

  • Working on our branding. I want to convey a message of people who use our product are people who try a little bit harder to be better... The best thing i've come up with so far is "Always improving" but, I don't like it. I also need to establish the brand voice for all the e-mails / content/ tweets /etc were sending out. Right now it's all pretty bland/random.


Will update this post more later.

Some solid info in this post. Thanks bro. I'll take a look at that link tonight.

Edit: EXCELLENT post, man! Lots of info to get my company started. Please have some Rep
 
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DaRK9

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I used to work in the industry and saw the need. I am a firm believer in you have to pull product ideas from your own experiences rather than trying to look elsewhere.
This. Don't be afraid of the all evil job, there are positives from doing grunt work.

Watching.
 

Gale4rc

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Subscribed. Good luck man.
Thanks, appreciate it!

This. Don't be afraid of the all evil job, there are positives from doing grunt work.

Watching.
It's the only way to get true insights into an industry &TY


Today has been BUSY.

  • The app developer(other venture i'm working on) hit me with a pretty big to do list I just finished. Which took a while (iOS dev account, rackspace hosting, product dev choices, setting up e-mail accounts, etc). The app is looking really good! Backend is just about finished.. First version should be done at the 23rd of this month.... Showed another friend it today and I get the same response everytime... People really love this idea... Unlike my other 'fun' ideas, people are actually checking in with me to see how it's doing because they want to use it.... Never had this kind've response from an idea before.

  • Invested some time into creating a better newsletter template on MailCheat(Chimp) ... Including social sharing the articles under every post and follow buttons at the bottom as well as link to our product. We have a 40%+ Open rate and 13% Click through rate. Let's hope this increases click through rates and shares. You can see it here http://take.ms/VCOgP - Blocked out some stuff just because I don't want to create competition for myself by posting on this forum.

  • Actually finished today's blog post... (Originally was gonna skip it, it's 12am been working since 9am with some breaks here and there)

  • Created and published 3 more pinterest images... Going to look for a video later, I need to see how successful campaigns are built.

  • Created and posted a seperate instagram image.

  • Adding custom Images to Tweets on buffer for higher engagement... Making everything high quality for social is REALLY time consuming. Hopefully it pays off. I read somewhere that tweets with pictures get 65% higher engagement. Maybe I already wrote that? I don't know it's late and i'm tired.


Posting on this accountability thread is really helping me stay motivated. I like to see / write about what I've done everyday. Keeps me on track and wanting to beat yesterdays stats.

- Sidenote - I'm using http://www.any.do/ to write down my daily to do list... Some of my tasks like writing blog posts are recurring... It would be nice to have an app that had an option to make the task automatically add to every day that I needed it there. Also mixed with http://idonethis.com with some performance analytics to see my most productive days, average tasks completed, etc- so it would e-mail me everything I completely everyday as well to keep me on track and let me know the stats of my team. Let me know things I didn't finish as well. Someone should make this :) (Also another example of an idea being pulled from experience and not just randomly thinking of stuff)

 
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Gale4rc

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  • Spoke with a PR guy over the phone for 30minutes who gave me some free advice on how to craft my pitch to journalist (he basically wrote it for me)- Just found a known guy in the industry and asked for his help via email.

  • Found a way to test our brand messaging (from the email in previous post) - Posting it on instagram and measuring engagement vs other stuff we posted. If it's well received i'll move forward with it. My developer who is basically a partner, doesn't like it because it's not specific enough. Like I said before though, I want to create a brand people fall in love with and inspires them. The messaging might be 'general' but, they know what we do.
fastlaneinsta.jpg


  • Published Blog Post

  • Published Custom Pinterest Image

  • Added custom images to more tweets (It's getting us higher engagement, more clicks per tweet)

  • Now - dealing with customer service (User ran into bugs) and then have more tasks from my other venture, not sure if I'll have time for a blog post today.

  • Also buying this bundle http://bundle.betalist.com/ for the AWS credits alone. $500 for $47 ... Don't care too much about the extra services (although if you don't have a membership to growth hacker TV , I highly recommend it- I have a life time membership there and it's been a very valuable resource for marketing )

  • Installed http://untorch.com/ which is a referral program for signups, to get more signups. I'll let you know the results of it in the coming days. It was really easy to install. Running paid traffic + organic through it to get results faster.

Found this awesome tool for analyzing your ad spend http://ad-spend-calculator.qwilr.com/
Will keep updating the post as the day goes on.
 
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Gale4rc

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Spent hours searching for the perfect theme for our blog... Upgraded it into this one
cocoa-premium-wordpress-theme-elmastudio.jpg

http://www.elmastudio.de/en/wordpress-en/cocoa-premium-wordpress-blog-theme/

I wanted something simple, content focused that will keep the readers reading.

Since I made the correlation between good content = more signups. I decided I wanted to put more focus on the content which means removing all distractions.

I also removed the popup and added a scroll trigger box and it works perfect with the theme... The two styles fit perfectly together http://www.dreamgrow.com/dreamgrow-scroll-triggered-box/

Also wrote a blog post which I thoroughly enjoyed writing on this new theme!

Blog post a break down of this webinar http://grow.kissmetrics.com/webinar-67-recording related to my niche. I HIGHLY suggest everyone watches that webinar, it's about the top 10 PPC hacks of all time. Great stuff.

Also added a finishing touch that I really like at the end of the post ( where it's the only color around and sticks out):
53f00d5ac38aa563266aa731.png


That's it today - Gonna workout / run and then go out with some friends... Probably won't do much tomorrow.
 
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Gale4rc

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Where did the day go?

  • Published a blog post - It was very well received and I knew it would be! Pretty stoked on that.

  • Spent a while searching for an idea to write about for the blog, then wrote the blog post... Running out of ideas!

  • My scroll box popup vs traditional popup is not performing well at all. I'm going to give it another day and then i'm switching back to traditional popup.

  • Made a Twitter list with all the influencers in my niche so I can interact with them on a daily basis. Also interacted with them :) saved some searches relevant to niche and followed relevant people. This all took ~4+hours.

  • Made a blog influencer list to leave comments on and build relationships with the writers. Also hopefully some no follow inbound links that will bring small traffic but, traffic over time :)

  • No Instagram / Twitter / FB posts today.. Tomorrow I will get on that... Or maybe tonight. Got 2 hits from pinterest today from previous posts... I guess it's better than nothin!

  • Upgraded our site + blog from HTTP to HTTPS - Hopefully will increase our SEO rankings
New rule: No Tweets without amazing images.
 
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Iwokeup

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Hey man, noob question, but how do you set up a pop-up Free/gimme your email thing with Wordpress?

Great thread! I've got it bookmarked and am following.
 
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Gale4rc

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Ran the same exact ads today anddddddddddddddddddd

Removed exact conversion numbers due to MJ's thread scaring me https://www.thefastlaneforum.com/community/threads/why-all-the-secrecy-heres-why.50174/ Note: These are not paying customers since were not in public beta yet, just people signing up wanting to try the product.

Using this awesome quick ad spend calculator http://ad-spend-calculator.qwilr.com/ *Edited/removed

Hopefully should start public beta by this Monday and we can see how many people sign up then.

Today was horrible, got the basic work done but, was extremely tired all day. Had 1 person unsubscribe from the blog post today, I know technically that's probably really good (1 loss per 3+ emails) but, it really gets to me. I'm going to focus on the next few days on just making 1 REALLY good piece of content and make sure if anyone unsubscribes it's because their brain dead.

You could get a coupon code for fb, and that would soak up the damage?

Used one a while back for my ecommerce project I think ... Or something else, either way not eligible but, thanks for the idea anyway!

Ending the post with some Kanye from his best album ever made.


PS- Also spent $40 for twitter ads for $0 conversions from their single click lead gen cards. Trash for my industry.

Also Upgraded our popup :
Excited to see how it performs tomorrow, scrollbox was trash. These templates and more are now offered by sumo me, 3 pack for $15 or one for $6 - I bought one because the others didn't go with this blog at all.
 
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